Monday, October 17, 2016

County of Boulder 1B – Open Space Sales and Use Tax Extension and Bond Authorization

1B and 1C are both requests for tax extensions for 15 years, each for ½ of the current 0.25% open space sales tax. The 1B half would continue to be earmarked for open space.

We have 4 county sales taxes dedicated to open space. The 0.25% tax is the biggest of the 4 and the one closest to the expiration date.
0.25% - expires 12/31/2019 (under discussion here)
0.10% - half expires 12/31/2024, half in perpetuity for maintenance
0.10% - expires 12/31/2029
0.15% - expires 12/31/2030

In addition, we have 0.385% in other county sales taxes for flood recovery, the jail, human services and roads and transit. The breakdown for total sales tax paid in the city of Boulder is below:
3.860% City
0.985% County (See above.)
1.000% RTD
0.100% SCFD (See ballot issue 4B.)
2.900% State
Total 8.845%

Recommendation: no/against

We just passed a brand-new open space sales tax in 2010 and were told by proponents that Boulder County had purchased almost everything it ever expected to purchase. I wondered then if 2010 would be the year of the last open space ballot issue – evidently not.

If we don’t pass this tax, we will continue to have 0.35% in sales tax that we can use for maintaining the open space we currently have. When those sales taxes get close to their expiration date, we can renew the debate on the amount of open space sales tax we should have.

A 2010 reader of this website says that the county buys land from farmers and then “rent[s] it to the farmer for nothing.” The farmers get the benefits. We regular citizens only enjoy the agricultural views.

Sales taxes are regressive, and we should be wary of automatically increasing sales taxes. In addition to the sales tax extension in 1B and 1C, the county is asking for a new property tax in 1A. In 2014 we just passed a 15-year human services safety-net tax extension (first passed in 2010 to help after the 2008 financial crisis) and a new 5-year flood recovery tax (after the 2013 flood).

Website for the Yes Side (Citizens for Sustainability and Open Space)
http://bocosos.com/

Website for the No Side
No known website – Info on an opposition website appreciated.


Approved Ballot Language

COUNTY ISSUE 1B (Countywide Open Space Sales and Use Tax Bond Authorization and Tax Extension):

Shall Boulder County debt be increased by up to $30 million, with a maximum repayment cost of up to $54 million, with no increase in any county tax or tax rate, by the issuance of revenue bonds for the purpose of open space land acquisition, which bonds shall bear interest, mature, be subject to redemption, with or without premium, and be issued, dated and sold at such time or times, at such prices (at, above or below par) and in such manner and containing such other terms, not inconsistent herewith, including provisions for funding any capitalized interest and required reserves, as the Board of County Commissioners may determine;

And shall one-half (0.125%) of the county’s existing 0.25% sales and use tax for open space, currently set to expire December 31, 2019, be extended for an additional period of fifteen years to and including December 31, 2034 for the purpose of funding the open space program, including but not limited to the following:
- targeted open space land acquisition, including key remaining properties throughout Boulder County; and
-the continued management and maintenance of existing open space, including constructing more trails on and connecting to open space and restoring wetlands and areas along rivers and streams on open space damaged by the 2013 flood;

And shall such bonds be repaid from the proceeds of such extended tax and, to the extent proceeds from such extended tax are insufficient or unavailable for the repayment of such bonds, from other county open space sales and use tax revenues, the conservation trust fund, the county’s general fund and other legally available funds; shall the county be authorized, in order to provide for the payment of such bonds, to enter into a multiple-fiscal year obligation to transfer the proceeds of such extended tax, other county open space sales and use tax revenues, and moneys from the conservation trust fund, the general fund and other legally available funds to the open space capital improvement trust fund in an amount sufficient to pay the debt service on such bonds and to otherwise comply with the covenants of the resolution or other instruments governing such bonds; and shall the revenues and the earnings on the investment of the proceeds of such tax and such bonds, regardless of amount, constitute a voter-approved revenue change; all in accordance with Board of County Commissioners’ Resolution No. 2016-77?

YES/FOR _______
NO/AGAINST _________

Resolution No. 2016-77 with details for ballot issue 1B
http://www.bouldercounty.org/doc/bocc/2016-77_OpenSpace.pdf

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